LSDBi
Status: Adopted Final
Intent: To implement the provisions of the House settlement related to Bylaw 16, as specified.
Bylaws: Amend 16, as follows:
16 Awards, Benefits and Expenses for Enrolled Student-Athletes
[16.01 unchanged.]
16.02 Definitions and Applications.
16.02.1 Award. An award is an item given in recognition of athletics participation or performance. Such awards are subject to the limitations set forth in Bylaw 16.1.
16.02.2 Benefits Pool/Benefits Cap. The benefits pool is the value of additional payments and/or benefits (see Bylaw 16.13) an institution may provide to its student-athletes during an academic year pursuant to the House settlement. The pool is calculated based on revenue categories set forth in the House settlement and pursuant to a formula and policies and procedures consistent with the settlement. The benefits cap refers to the limit on the value of additional payments and/or benefits an institution may provide to its student-athletes during an academic year. The value of the benefits pool and the value of the benefits cap are the same for each academic year.
[16.02.3 through 16.02.4 renumbered as 16.02.4 through 16.02.5, unchanged.]
16.02.5 Pay. Pay is the receipt of funds, awards or benefits not permitted by governing legislation of the Association for participation in athletics. (See Bylaw 12.1.2.1 for explanation of forms of pay prohibited under the Association's amateur-status regulations.)
[16.02.5 unchanged.]
16.02.6 Significant Other. A significant other is a spouse, fiancé or fiancée, domestic partner, or any individual whose relationship to an identified individual (e.g., prospective student-athlete, coach, student-athlete) is the practical equivalent of a spouse.
16.1 Awards.
16.1.1 Application of Awards Legislation.
16.1.1.1 Awards Received for Participation While not Representing the Institution. Awards received by an individual for participation in competition while not representing the institution shall conform to the rules of the amateur sports organization that governs the competition, but may not include cash (or cash equivalents) that exceeds actual and necessary expenses (see Bylaw 12.1.2.4).
[16.1.1.1 renumbered as 16.1.1.0, unchanged.]
[16.1.2 through 16.1.7 unchanged.]
[16.2 through 16.12 unchanged.]
16.13 Settlement Related Benefits and Expenses.
16.13.1 Benefits Cap Compliance. An institution may provide payments, benefits and expenses to a student-athlete as specified in this section, provided the aggregate value provided by (or on behalf of) the institution does not exceed the value of the applicable period’s benefits cap. The annual period for application of the benefits cap is July 1 through June 30. Applicable payments, benefits and expenses must be reported to the designated benefits cap management entity. Additional benefits pool compliance regulations shall be developed, maintained and published as policies and procedures. Unless otherwise noted in this section, awards, benefits and expenses provided that were permissible as of October 7, 2024, do not count toward the benefits cap and may continue to be provided.
16.13.1.1 Name, Image and Likeness Payments. The value of payments from an institution for a student-athlete’s name, image and likeness (see Bylaw 22.2.1) must count toward the benefits cap, including payments in which an institutional designee or contractor (e.g., multimedia rights holder) acts as an agent, facilitator, and/or administrator for an institution whereby payments are made to a student-athlete that originate from or are paid by the institution.
16.13.1.2 Miscellaneous Payments and Benefits. The provision of other direct payments or benefits by an institution to a student-athlete or the student-athlete’s family, shall be counted against the benefits cap unless exempted by NCAA legislation or interpretation. This requirement includes payments in which an institutional designee or contractor (e.g., multimedia rights holder) acts as an agent, facilitator, and/or administrator for an institution whereby payments are made to a student-athlete that originate from or are paid by the institution.
16.13.1.3 Academic or Graduation Awards or Incentives. The aggregated value of up to $2.5 million in academic or graduation awards or incentives provided by an institution pursuant to Bylaw 16.1.4.5 must be counted against the benefits cap; however, there is no limit on the number of such awards or incentives that may be provided.
16.13.1.4 Incremental Athletics Scholarships. The full cost of attendance value of up to $2.5 million in incremental athletics scholarships provided by the institution in excess of the 2024-25 academic year team scholarship limit for a particular sport must be counted against the benefits cap; however, there is no limit on the number of new athletics scholarships that may be awarded consistent with the roster limit for a particular sport (see Bylaw 17.2).
16.13.1.5 Benefits From Individuals or Organizations Other Than an Institution. Benefits from individuals or entities other than an institution (third parties) are governed by Bylaws 16.02.3 and 16.11.1.1. The value of an additional benefit provided by an individual or entity outside the institution does not count against the benefits cap. Entities or organizations that are owned, controlled, or operated by member institutions and/or Division I conferences are not third parties.
16.13.1.6 Timing of Benefits and Reporting. The value of benefits provided to a student-athlete must count against the benefits cap during the year in which the benefit was promised to be provided or paid and/or was actually provided or paid.
16.13.2 Written Agreements. All benefits provided by an institution to an individual shall be specified in signed agreements between the institution and the individual. Such agreements shall be entered and uploaded into the system of record within a specified time period from final signatures.
16.13.3 Benefits Cap Attestation. An institution shall attest to the designated benefits cap management entity the total amount and types of benefits the institution provided during the preceding July 1 through June 30 period by September 1 of each calendar year. The institution’s president/chancellor, athletics director and each head coach shall complete the attestation. The attestation, in addition to other elements addressed by policies and procedures, shall require confirmation of the following:
(a) The information in the system of record is complete, accurate and compliant with the benefits cap rules and policies. The institution must report benefits countable against the benefits cap provided to any individual who participated in athletically related activities (countable, voluntary, required) during the applicable year, regardless of whether the individual was on a sport’s submitted roster;
(b) All countable benefits provided to student-athletes were included in written agreements and the agreements were uploaded into the system of record; and
(c) Student-athletes were not guaranteed payments or benefits that were not included in a written agreement and entered into the system of record.
[16.13.1.1 renumbered as 16.14.1.1, unchanged.]
Source: NCAA Division I Board of Directors
Effective Date: July 1, 2025; any contracts or payment terms for a third-party’s use of a student-athlete’s NIL executed on or after the day of final settlement approval, and agreements executed before the settlement approval date with payments to be made on or after July 1 are subject to the applicable reporting requirements and name, image and likeness clearinghouse review, as specified.
Proposal Category: Amendment
Topical Area: Awards, Benefits and Expenses
Rationale: This proposal would implement the necessary changes to Bylaw 16 to effectuate the application of the settlement of the House, Hubbard and Carter cases.
Estimated Budget Impact: Dependent on institutional decisions.
Impact on Student-Athlete's Time (Academic and/or Athletics): None.
History
| Apr 21, 2025: | Adopted by Board | Adopted as emergency legislation contingent on approval of the House settlement. |
| Jun 6, 2025: | Adopted Final | Adopted final based on the approval of the House settlement. |
Legislative References
| Division | Number | Title |
|---|---|---|
| I | 16 | Awards, Benefits and Expenses for Enrolled Student-Athletes |
| I | 16.02 | Definitions and Applications. |
| I | 16.02.1 | Award. |
| I | 16.02.2 | Benefits Pool/Benefits Cap. |
| I | 16.02.5 | Pay. |
| I | 16.02.6 | Significant Other. |
| I | 16.1 | Awards. |
| I | 16.1.1 | Application of Awards Legislation. |
| I | 16.1.1.1 | Awards Received for Participation While not Representing the Institution. |
| I | 16.13 | Settlement Related Benefits and Expenses. |
| I | 16.13.1 | Benefits Cap Compliance. |
| I | 16.13.1.2 | Name, Image and Likeness Payments. |
| I | 16.13.1.3 | Miscellaneous Payments and Benefits. |
| I | 16.13.1.4 | Academic or Graduation Awards or Incentives. |
| I | 16.13.1.5 | Incremental Athletics Scholarships. |
| I | 16.13.1.6 | Benefits From Individuals or Organizations Other Than an Institution. |
| I | 16.13.1.7 | Timing of Benefits and Reporting. |
| I | 16.13.2 | Written Agreements. |
| I | 16.13.3 | Benefits Cap Attestation. |